DDP Final Project Primer Avance

8/12/2019 DDP Final Project Primer Avance

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Final project

Design and productdevelopment


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EXTERNAL ANALYSIS

National Environment Analysis - Macro Environment

Power of Suppliers

Competition of Substitutes

Current and Future Strategies

Penetration in Households or Customers


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National Environment Analysis - Macro Environment - SEPTE.

Camu Camu: Coming from Iquitos. Each unit is equivalent to 10

lemons. It has high content of vitamin C. Good for peoplesuffering from asthma, astringent, antioxidant, anti-inflammatory, emollient, nutritive, antiviral, anti-migraine, anti-depressant and a natural slimming.

Aguaje: It is the most beloved fruit in San Martin. Vitamin E andhas hormones. Very effective for nutrition for babies, forexample in the slurry, to aid growth. Very good for menopause.

It is also used for the preparation of mass aguaje: good forlollipops, ice cream and aguajina.

Cocona: is the best natural alternative against the excesses ofcholesterol and glucose. Is used to make soft drinks and toprepare the chili "charapita".

Cocoa: Very popular abroad. Prepare for champagnecocktails, chocolate, sweets, lollipops, etc..

Dale Dale: It has various vitamins. It is eaten boiled.

Peanuts: Tan.

Carambola: It has vitamin C. It is used to make soft drinksbecause it has plenty of water.


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Power of Supplier

The water source is a fruit that only grows in the Amazonregion therefore needs a moist habitat. The suppliers ofthis product mostly live in the jungle and you also haveto keep in mind that this fruit has its seasons. In theseason that does not grow much the price to buy it ismore expensive than their season.

Normally retail costs 6 units aguaje for sun in the sameforest. Having to carry Lima's price increase anyway,considering that it takes to get tickets in about 2 hoursand land one day.

Price is slightly negotiable and to be cultivated so farsuppliers have the decision to put a price according toseason the water hole.


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Current and Future Strategies

Strategies Naturale is the strongest selling theirproducts online. It has the support of companiesthat specialize in e-commerce like Amazon. Today,many people are wary of this service via online butit is likely that in the future more and more peoplebuy online. Which would mean that the marketwould favor Aguajella Naturale if batteries are notplaced thereon.

Among the future strategies of Industrial Forest isthe focus on the international market. Today it isknown worldwide, so it is expected to berecognized for their exclusive products of thePeruvian Amazon which has rich diversity and evenwithout knowing 100%.


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Penetration in Households or Customers

Customer: Sure, the penetration is from customerswho do not know the product to current andpotential customers.

Issuer: the product by different companies of naturalproducts is promoted.

Proscribers: people are encouraged to consumenatural products because they have differentfunctions for varis disease or lack of any vitamins andother components needed by the body, this leads tothat if a person does not want to consume at least

recommend someone of his acquaintances for theirgood.

Advertisement: Living Healthy eating fruits from thePeruvian Amazon.


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Internal Analysis

Business VolumeThe total fixed costs, in the company, are S/.204,000 per year inadministrative expenses and amount of S/.132,000 in publicityexpenses. Because the company will outsource the production ofAguajella. Also, the unit cost is S/. 3.

The Breakeven is sold 168,000bottles

Q =CF

P C u

Q =336,000

5 3

Q = 168,000 bottles


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Market Share

The objectives in the marketing plan areachieving a market share of 2.3% in the firstyear. (Approximately sell 100,000 bottles) and

2.45% in the second year (Sell 140,000bottles). Getting a market growth of 30% andincrease the sales of Acuajella in 40%.


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Coverage and Distribution

The product will follow an intensive distribution (high rotationof products, time and coverage), and it will be sending tothe market by the next ways:

Supermarkets: Wong, Metro, Plaza Vea, Vivanda y Tottus.

Gyms: Sport Life, Energym, Gold Gym y Fitness gym.

Casas naturistas: La casa de Maite.

Minimarkets in gas stations: Repshop y Primax.

Bodegas: en zonas donde habiten personas delsegmento meta.


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Average Price

The finnancial objectives are achieving sellamount of S/.1,200,000. At the end of the first year

S/.500,000 and S/.700,000 at the end of thesecond year. The price will offer to the Wholesalersis S/.5, the price that the company gives to theretailers is S/.6 and the price of the consumer is

S/.7. Finally, the Company is planning to get thebreakeven at the end of the second year andfinance the wastes in the first year with log-termdebt with a Financial Institution.


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Inventaries

The system that control inventories is the ABC system. It dividesthe products in three kind A, B and C. The A products are at

least 70% of the total value of money of the raw material, the B

products are at least 20% of the inventory and the C productsare the 10% of the products.

The FIFOs method is really simple: The products that in in thewarehouse in first place, it will be the first out. In that way itsecures the coolness of the product.

Resource Analysis


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Factory, Equipment and Own Infrastructure


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Factory, Equipment and Own Infrastructure


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Capabilities and Skills

AnalysisLogistics

New product with considerable investment in modern, high

quality and flexible warehousing and developed a distributionnetwork that maximizes the value of shared synergies.

Secure and environmentally friendly product disposal methods:- Anaerobic Digestion- Donation to charity

Best in Customer Service

Reduced costs


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Innovation

The unique expertise in new product developmentincludes:

A dedicated team of juice and beveragetechnologists

Expert knowledge of juices and other rawmaterial flavours to create fine blends of high

quality juices and drinks Continuous assessment of existing fruit sources to

provide consistent quality

Global exploration for new growers and fruits tocreate exciting and exotic new products


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Quality

The company embedded quality systems at everylevel; building company, team and individual

goals into the framework of the internationallyrecognized quality management system. Theyhave put in place a team of experienced andqualified technical specialists with knowledge of:

Quality management systems

Product, process and packaging technology

Analytical techniques and methods

Legal compliance

OPPORTUNITY THREAT


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OPPORTUNITY THREATSWOT ANALYSIS O1: General trend

toward caring

image and health.A1: Global warming is

reducing the proportion of

world tropical forests, where

the watering grows.O2: High number ofreferences in

popular culture.A2: El Nio can severelyaffect aguaje crops and

increase prices.O3: Tendency to

consume natural

products.

STRENGTHSF1: Highly nutritious product.

F3O2 F2A1F2: Package that adds

valueF3: Product beneficial

biochemically for the target

segment.

WEAKNESSES

D1: Little capital to invest inmassive expansion of

operations.D1O1 D2A2D2: Operational

inefficiencies that result in

cost overruns.D3: Little know-how of theindustry.


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F3O2: A positioning strategy of the product is applied as itsought to associate the quality and benefit of the product so

that the target market associated with healthy living andhealthy as the main tool body differentiation.

F2A1: As part of the plan to boost sales of the product strategy

was used to add a water filter then reuse the container so thatthe side effect develops social marketing to contribute to theenvironment.


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D1O1: Having little capital is a

barrier to enter a growing marketsegment is chosen, so that youthink apply a price skimmingstrategy for high profitability andto increase the volume of

production over time. D2A2: Develop a contingency

plan to combat low input times asthe option to acclimate

more temperate climates or to

develop a range of productssubstitutes for difficult stages.

External Factors


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External Factors

KEY FACTORSOpportunities Weigh Rank Total Score

1 Increase health consciousattitude 25% 3 0.752 General trend to consumenatural products 15% 4 0.63 Many suppliers 20% 2 0.4

Threats4 Industry high turnover rate 15% 2 0.35 Many competitors in themarket 17% 2 0.346 Economy scale 8% 3 0.24

Total: 100% 2.63Internal Factors

KEY FACTORSStrengths Weigh Rank Total Score

7 Nutricional value 25% 4 18 Quality service 15% 4 0.6

9Product beneficialbiochemically for the target

segment. 15% 3 0.45Weaknesses

10 Limited funds 15% 1 0.1511 Little know how aboutindustry 20% 1 0.212 Higher prices 10% 2 0.2

Total: 100% 2.6


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Our weighted average factors matrix shows that

we need to maintain and preserve our businessplan because we are in the fifth block.

Concentration in profitable segments with low risk

The right strategies that we suggest are:

Market development Market penetration

Product development

Horizontal integration

Documents

DDP Final Project Primer Avance